Investment holding firm DoubleDragon Corp. has raised $55 million from a new offering of debt notes to fund the expansion of the property-based enterprise led by business tycoons Edgar Sia II and Tony Tan Caktiong.
DoubleDragon’s wholly owned subsidiary DDPC Worldwide priced the new debt notes due 2025 to yield 7.25 percent per annum, the company disclosed to the Philippine Stock Exchange on Thursday.
The group chose UBS AG Singapore branch as sole global coordinator, lead manager and bookrunner for the issuance.
The new debt securities will be consolidated with DDPC’s existing $75-million 7.25-percent senior guaranteed notes due 2025, issued on July 27, 2020, to form a single series.
RCBC Capital and PNB Capital are the domestic lead managers for the offering.
“DoubleDragon seeks to increase diversification of its funding sources as it prepares itself to grow its business operations inside and outside the Philippines over the long-term,” DoubleDragon said in a disclosure.
“Philippine companies have successfully offered and listed fixed-term senior bonds and perpetual securities on the SGX-ST (Singapore Exchange) in recent years. DoubleDragon recognizes the value that diverse funding sources and a broad investor base provide for its growth and expansion,” it added.
DoubleDragon has completed a portfolio of over 1 million square meters of leasable gross floor area in the diversified sectors of provincial retail leasing, office leasing, hotels and industrial warehouse leasing.
Drugstore deal
Meanwhile, Sia’s retailing arm, MerryMart Consumer Corp., finalized the acquisition of a 53-percent stake in 21-store Cecile’s Pharmacy, operator of the biggest pharmacy chain in Zamboanga.
Cecile’s Pharmacy, which employs around 300 individuals, is cash-flow and net-income positive, MerryMart said in a separate disclosure.
“While the MerryMart Group continues on with its organic expansion, MerryMart will continue to keep its eyes open for [merger and acquisition] opportunities in both the grocery and pharmacy space that would accelerate its growth to capitalize on the continued consolidation from traditional to modern retail in the Philippines,” Sia said.